The fall in global economic activity will make the world reach the goal of reducing gas emissions stipulated by the Paris Agreement. The estimate is that the volume of carbon discharged into the atmosphere will drop 6% globally. Brazil may go against this trend. An analysis made by the Climate Observatory points to an increase of up to 20% in Brazilian emissions, in 2020. The reason is the growth of deforestation in the country.
Demand greater than that predicted by the R$ 600 ($ 110) emergency aid raised the forecast for spending on the benefit to R$ 151.5 billion ($ 28 billion). The estimate, however, considers only the payment up to the third instalment, not taking into account a possible extension of the aid. The amount is 54.2% higher than the initial projection of R$ 98.2 billion ($ 18 billion) announced by the government.
Congress approved the supplementary credit of R$ 343.6 billion ($ 62 billion) that would allow the federal government to circumvent the so-called golden rule and issue debt to pay expenses with pensions, salaries and social benefits. Most of the R$ 213.7 billion ($ 38 billion) credit is used to pay Social Security benefits, such as retirement and pensions.
The developer of renewable generation projects Casa dos Ventos signed a long-term private contract for the sale of energy to the technology company Tivit, in a deal that helps to remove a wind farm in Rio Grande do Norte, estimated at R$ 2.4 billion ($ 437 million). Work on the plant that will meet the contract began in April.
Ipea released a survey of opening and closing companies throughout the period of social isolation, caused by the coronavirus. The highlight is due to the reduction in the opening of companies, which fell 72% this year compared to a similar period in 2019. 1,265 companies were opened in this interval against 4,471 last year.
Engie Brasil and the National Bank for Economic and Social Development (BNDES) signed financing contracts for the implementation of the Campo Largo 2 wind farm and the Gralha Azul transmission system. Together, the contracts provide for more than R$ 2.7 billion ($ 490 million) in financing.
The exchange rate flow to Brazil was positive at $ 1.898 billion between May 11th and 15th, data from the Central Bank, which raised the month’s surplus to US $ 2.337 billion. Last week, the commercial account had a surplus of $ 1.943 billion
The health services administrator Hapvida saw a strong increase in revenues in the first quarter, but its profit fell in the annual comparison, with the impact of financial expenses and provisions for reimbursement to SUS. The company announced that it had net income of R$ 164.6 million ($ 30 million) from January to March, down 19.9% in comparison with the same stage of 2019.
Brazilian agribusiness contracted 5.6% in March compared to March 2019, already under quarantine effects due to the coronavirus pandemic, the Getúlio Vargas Foundation (FGV), which elaborates, through its Centre, recently announced. of Agribusiness Studies (GV Agro), the Agroindustrial Production Index (PIMAgro) – Physical Production.
Unidas’ recurring net income ended the quarter with a 3.6% decrease, totalling R$ 79.6 million ($ 14 million). According to the financial result released by the company, in the same quarter of 2019, the amount was R$ 82.5 million ($ 15 million). The company’s net revenue totalled R$ 1.2 billion ($ 218 million) in the first three months of the year and recorded an increase of 17.9%.